Independent Bank Corp. · NASDAQ:INDB

Independent Bank — Sterne Agee Financial Institutions Investor Conference 2014

22 slides from Independent Bank's conference presentation, Feb 13, 2014

  1. Slide 1: Sterne Agee Financial Institutions Investor Conference

    Sterne Agee Financial Institutions Investor Conference February 12-14, 2014 Denis Sheahan Chief Operating Officer Exhibit 99.1

  2. Slide 2: Who We Are

    • Main Sub: Rockland Trust • Market: Eastern Massachusetts • Loans: $4.7 B • Deposits: $5.0 B • $AUA: $2.3 B • Market Cap: $0.8 B • NASDAQ: INDB Who We Are 2

  3. Slide 3: Key Messages

    • Track record of consistent, solid performance • Well-positioned competitively • Expanding/strengthening footprint and share • Growing fee revenue sources • Disciplined risk management culture • Strong capital/TBV steadily rising • Raising the bar on operational excellence Key Messages 3

  4. Slide 4: Company Footprint

    Company Footprint 4 Rank 2013 1 19.7% 44% Rank 2013 6 3.9% 18% Rank 2013 4 9.9% 14% Rank 2013 9 5.9% 12% Rank 2013 23 1.0% 11% Rank 2013 45 0.3% 1% Worcester County Middlesex County Norfolk County % of INDB Dep.Share Barnstable County (Cape Cod) Market Plymouth County Bristol County Source: SNL Fina

  5. Slide 5: 2013 Accomplishments

    • Record operating EPS performance ($2.39) • Excellent commercial loan and core deposit growth • Very successful customer acquisition campaigns • Deposit households up 5% (MA growth <1%) • Growing franchise value via accretive acquisitions • Opened first office in downtown Boston • Multiple 3rd part

  6. Slide 6: Strong Fundamentals Driving Performance

    Strong Fundamentals Driving Performance 6 40.3 45.5 47.1 55.2 2010 2011 2012 2013 Operating Earnings ($ Mil.) +17% Diluted EPS $1.90 $2.12 $2.16 $2.39 +13% +4% • Healthy comm’l loan growth • Core deposits up to 85% • Growing wealth mgmt. • Double digit fee income growth • Solid asset quality vs. pee

  7. Slide 7: Robust Commercial Loan Generation

    374 503 576 688 784 2009 2010 2011 2012 2013 +20% CAGR Robust Commercial Loan Generation ($ Mil.) 7 497 850 2009 2013 Comm’l Loan Originations +14% CAGR 12/13 vs. 12/12 12/13 vs. 9/13 ↑ 7% ↑ 7% annualizedComm’l Loan $ Bal. Organic Growth Strong C&I Loan Growth ($ Bal.-mil.) Yr. end

  8. Slide 8: Attractive Balance Sheet Profile

    Attractive Balance Sheet Profile 4Q13 Sec./ST Inv. 14% Resi Mtges 10% Home Eq 15% Comm'l Loans 61% EARNING ASSETS $5.5 B AVG. YIELD: 3.87% Very Focused On Containing Deposit Costs Shift Towards Higher Yielding Assets Demand Deposits 27% Money Market 19% Savings/Now 40% CD's 15% TOTAL DEPOSITS $5.0 B

  9. Slide 9: Investment Management – High Priority Growth Business

    Investment Management – High Priority Growth Business 9 • Growing source of fee revenues • Expanding investment center locations • Strong feeder business from Bank • Cross-sell opportunity in acquired bank markets $ mil. 2006 2013 Assets under Admin. 816$ + 176% 2,251$ Revenues 6.1$ + 175% 16.8$

  10. Slide 10: Sustaining Business Momentum

    Sustaining Business Momentum 10 Business Line Focal Points •Expand Market Presence •Grow C&I Client Base •Expand Specialty Products, e.g. ABL Commercial •Continue to Drive Household Growth •Expand Electronic Banking Platform •Optimize Branch Network Retail Delivery •Capitalize on Strong Market Demog

  11. Slide 11: Net Interest Margin

    Net Interest Margin Fairly steady over various rate cycles Current low rate environment adding pressure 11 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 4Q06 4Q07 4Q08 4Q09 4Q10 4Q11 4Q12 4Q13 Fed Funds NIM (FTE) 5 yr SWAP

  12. Slide 12: Prudent Balance Sheet Management Positioned for Rising Rates

    12 Prudent Balance Sheet Management Positioned for Rising Rates

  13. Slide 13: Asset Quality – Well Managed

    Asset Quality – Well Managed 23.1 29.0 28.8 34.7 2010 2011 2012 2013 NPL’s ($ Mil.) 14.8 9.5 9.7 8.8 4.8 2010 2011 2012 2013 Net Chargeoffs ($ Mil.) customer fraud 14.5 NPL/Loan % 0.65% 0.76% 0.64% 0.73% Peers 1.95%* Loss Rate 43bp 26bp 36bp 19bp Peers 28bp* * Source: FFIEC Peer Group 2; $3-10 Billi

  14. Slide 14: Strong Capital Position

    • Strong internal capital generation • No external capital raising • No dividend cuts Strong Capital Position 14 8.2% 8.6% 8.7% 8.6% 2010 2011 2012 2013 Tier 1 Leverage % 6.47% 6.80% 6.56% 6.91% 2010 2011 2012 2013 Tangible Common % $13.88 $15.27 $16.12 $17.18 2010 2011 2012 2013 Tangible Book Value

  15. Slide 15: Attentive to Shareholder Returns

    Attentive to Shareholder Returns 15 $0.72 $0.76 $0.84 $0.88 2010 2011 2012 2013 Cash Dividends Declared Per Share

  16. Slide 16: Mayflower Bancorp. (MFLR) Acquisition

    Mayflower Bancorp. (MFLR) Acquisition Strategic Rationale • Attractive financial return: 1-2% EPS accretive • Strengthens #1 share in a key market • Valuable source of liquidity: $200+MM deposits • Excellent fit with Rockland brand • Low risk transaction to create future value 16

  17. Slide 17: Major Opportunities in Acquired Bank Markets

    Investment Management Commercial Banking Retail/ Consumer • $2.3 Bil. AUA • Wealth/Institutional • Sophisticated products • Expanded presence • Knowledgeable bankers Central Bancorp. & Mayflower Bancorp. Customer Base • Highly-rated customer satisfaction • Electronic banking • Home equity Major Oppo

  18. Slide 18: Building Franchise Value

    Building Franchise Value 18 All Acquisitions Immediately Accretive Deal Value: $16.9MM 11% Core Dep. Premium* Falmouth Bancorp Jul ‘04 $140mm Assets $137mm Deposits 4 Branches Deal Value: $102.2 MM 17% Core Dep. Premium* Slade’s Ferry Bancorp Mar ‘08 $630mm Assets $411mm Deposits 9 Branches Deal Val

  19. Slide 19: 2014 Outlook – Key Expectations

    2014 Outlook – Key Expectations 19 Loan Growth + 4-5% Led by commercial segment Deposit Growth + 2-3% Emphasis on core deposits Net Int. Margin Mid-to Low 3.40s% Stablizing around 4Q13 level Non Int. Income + 3-4% Strong core growth/lower mort. rev. Non Int. Expense + 3-4% Includes full year of Mayf

  20. Slide 20: Raising the Bar on Operational Excellence

    Business Intelligence/Knowledge Management • Further leverage analytics to drive business results • Grow and deepen quality customer relationships • Better align sales, marketing, and relationship management Process Improvement • Focused on cost and quality of delivery • Elevate the customer experie

  21. Slide 21: INDB – Investment Merits

    • High quality franchise in attractive markets • Strong organic business volumes • Operating platform that can be leveraged further • Capitalizing on in-market consolidation opportunities • Diligent stewards of shareholder capital • Grounded management team • Positioned to grow, build, and acquire t

  22. Slide 22: NASDAQ Ticker: INDB www.rocklandtrust.com Robert Cozzone – CFO & Treasurer Shareholder Relations: (781) 878-6100

    NASDAQ Ticker: INDB www.rocklandtrust.com Robert Cozzone – CFO & Treasurer Shareholder Relations: (781) 878-6100 Statements contained in this presentation that are not historical facts are “forward-looking statements” that are subject to risks and uncertainties which could cause actual results to di

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